Also I think there is the basic fact that Sony probably expects that many purchasers of the Sony reader are going to buy books for the reader from Sony. Therefore they may be selling it for little or no profit in the hopes of developing a market for the ebook store.

--
Bill

I was wondering that. I know Sony actually takes a loss on the PS3s, knowing that they'll make it up in games (actually most game consoles do, except for the Wii, which makes a profit). I doubt for the Reader they'd take a loss though, too much of a gamble.